SpartanNash Overview

SpartanNash

Introduction

SpartanNash is a retail, wholesale, and food business warrant holder that provides groceries to military commissaries in the U.S. Its military segment sells and distributes grocery products – along with other food products, fuel, and other grocery products, such as hygiene products and deodorants – to U.S. military commissaries through distribution centers. The Food Distribution segment sells groceries to independent and corporate-owned grocery retailers, like Dollar Stores, through a multi-platform sales strategy. This segment provides 450,000 company-owned and licensed stores with food, personal hygiene, and related products at wholesale prices using an integrated multi-platform strategy. It serves 5,800 independent grocers. The Retail

It is generally known as a distributor, wholesaler, and retailer. It does business by constructing distribution networks to provide logistics and supply chain solutions. SpartanNash customers range from independent and chain grocery stores to the United States military.

The Company spreads goods, including fresh produce, to numerous locations across all 50 states, in addition to distributing to the District of Columbia, Europe, Cuba, Puerto Rico, Honduras, Iraq, Kuwait, Bahrain, Qatar, Djibouti, Korea, and Japan. The Company operates 147 supermarkets located throughout Ontario, Pennsylvania, Delaware, New York, New Jersey, California, Wisconsin, Minnesota, Washington State, Iowa, and Oklahoma. The Company’s network maintains a collection of directly-operated warehouses and distribution centers across Canada that deliver groceries and household goods to its retail customers. In addition, the Company supports this distribution by operating the network’s vehicles and service centers that distribute shipment products to shopping centers across its 48

Founder of SpartanNash

The company traces its roots to the founding of the current company in 1917 and bore the name Spartan Stores. The current name and SBA 7A status were assumed in 1957 and the company was first traded on the NASDAQ in August 2000. In September 2008, Spartan Inc. filed for Chapter 11 bankruptcy protection from creditors.

Historical Snapshot

Shawnee Mission South began using Spartan as a supply of meat in 1961, after securing its supply of Spartan and D&W private label products. Eventually, Spartan Stores acquired the stores and the operations became known as Spartan Foodtown. Also by 2003, Spartan Stores had discontinued its Pit & Poison (Drug Town) operations.

In 2013, Spartan expected the acquisition would improve its profitability. However, the company did not see the Farmer Jack chain as effective. In 2015, Spartan bought the D&W Food Center chain consisting of 21 stores, and a quarter of the stores had in-house pharmacies. In 2017, Spartan acquired the Feldpausch chain of 20 stores, nine with in-house pharmacies, three convenience stores, and two fuel centers. In 2018, the last Felpausch in Coldwater, Michigan became Smith’s II.

In April 2008, Spartan announced it would sell several stores in Ohio and Michigan to Rite Aid. An F&W Privacy Coalition lawsuit alleged Spartan was committing illegal activity by selling the Rite Aid records. In October 2008, Spartan announced the acquisition of Glens Grocery, Provisions, Pharm Inc, Glens Grocery, and Fanny’s Stores in Kenmore, Michigan. In 2013, Glen’s, Provisions, and Glens Grocery in June reopened under the Valu Land banner after being open for less than three months.

Mode of Operation

At every turn and on every occasion, organizations continue to act morally, and they conduct or operate themselves to their standards of ethical behavior and corporate compliance for their communities to quickly realize their potential as an industry leader, the best place to gain work experience, and efficient friendly environment to do business.

Anti-Bribery

The Ice Bucket Challenge and other smash-commercial fundraisers are illegal in Canada for health care organizations. Employers are governed by laws that prohibit them from paying or offering to pay anything of value to anyone for participating in an official undertaking. An employee is prohibited from making such a donation, even to their employer.

Political Activities and Contributions

SpartanNash encourages people to exercise their right to vote in all local, state, and federal elections and to be active in the political process.

Lobbying Activities

While you are free to participate as an individual in political and governmental processes, you may not engage in lobbying activities on behalf of the spartanash or claim that you are engaged in political activities. Serve as a representative of the spartan dash.

Providing Safe Products

The food industry is one of the most regulated industries in the United States.

Protecting the Environment

SpartanNash is dedicated to conducting its business in a manner that is sensitive to the environment, conserves our nation’s natural resources, and is compliant with applicable federal and state environmental laws.

Financials

Revenue is expected to be $2.19 Billion

Adjusted EPS is expected to be $0.47

Next Quarter’s Revenue Guidance is expected to be $2.2 Billion

Next Quarter EPS Guidance is expected to be $0.36

These are the numbers that will move the market and the guidance that will move it as well. Current Quarter Analyst Estimates

Revenue              of $2.19 Billion

Adjusted EPS     $0.47

For the bullish view, the following numbers would constitute a large beat:

* If SPTN reports a revenue number above $2.2 Billion, that would be ahead of even the highest estimates.

* If SPTN reports an EPS number above $0.50, that would be ahead of even the highest estimates.

Next Quarter Analyst Estimates

Revenue              of $2.2 Billion

EPS         $0.36

For the bullish view on guidance for the next quarter:

* If SPTN guides revenue above $2.23 Billion, that would be ahead of even the highest estimates.

* If SPTN guides EPS above $0.43, that would be ahead of even the highest estimates.

Implied Forward PE

Current Fiscal Year           13.01

Next Fiscal Year 11.64

* If SPTN hits the mean estimates for EPS this year, the company trades at a forward PE (for the current fiscal year) of 13.01.

* If SPTN hits the mean estimates for EPS for next year, the company trades at a forward PE (for the next fiscal year) of 11.64.

Services

Retail

Retail banners

Food distribution

Grocery wholesale supplier

Value Added service

SpartanNash own-brand

Military Distribution

Corporate responsibility

Merit

It is well known that it provides and distributes groceries to national and other forces. Spartanash clients are also linked to hundreds of trade and promotion projects, new products from the national CPP brand, professional suppliers, and the innovative Own Brands of Spartanash, which provide valuable value to their favorite customers at lower prices.

Conclusion

SpartanNash is another company like any other that is looking to increase its presence in the food sector. The fact that Whole Foods is a standalone business, needs a well-functioning supply chain. It will be interesting to see what they do with a few SpartanNash retail stores. Organizations in the best and brightest companies are selected to participate in the competition and evaluated based on categories such as connectivity, work-life balance, employee education, diversity, recognition, maintenance, and more, spartanNash partners continue to certify the service that creates.